Change a loan's repayment schedule

What this achieves

Sometimes an employee cannot afford a repayment in a particular month. This is where you postpone that one installment, or skip it and recover the money later, without cancelling the loan.

Required role: Administrator.

Steps

Go to Payroll → Loans.
Open the loan.
Select Shift installment to postpone one period, or Skip & catch up to skip one and recover it later.
Choose the pay period.
For a catch-up, choose the period to Catch up in and set the Catch-up amount.
Add a Note (optional).
Select Request change.

The two changes do different things

Option	Description
Shift installment	The loan collects nothing that period and runs one period longer. Nothing is recovered later.
Skip & catch up	The loan collects nothing that period, and the amount you set is added to a later period on top of its normal installment.

Example: Tom Hargreaves has an unaffordable month. Postponing extends his loan by one period. Skipping and catching up keeps the end date and makes a later month larger.

Both are available only while the loan is active and still has a balance.

Periods already paid cannot be changed

You choose from upcoming pay periods, and the panel says that periods already paid are not available. A run that has happened is not something a schedule change reaches.

Pay periods come from your payroll runs and are shared by everyone in the pay group. Where none exists yet, the panel tells you to generate them from the payroll runs screen first.

A catch-up is capped by take-home pay

The catch-up amount sits on top of that period’s normal installment. Where the employee’s pay cannot cover the whole of it, the remainder carries forward rather than being lost — and it is never charged twice.

Example: a catch-up on top of Tom Hargreaves’s usual installment that exceeds what his pay can bear recovers what it can and carries the rest forward.

Postponing costs interest on an interest-bearing loan

On a loan that charges interest on the declining balance, postponing keeps the balance higher for a period, so the remaining periods cost more. The panel states the extra amount before you submit.

A catch-up recovers the cash but not that additional interest. If the employee needs to know what the change costs them, this is the figure to quote.

Nothing changes until someone else approves

As with a waiver, a schedule change alters when the company is repaid, so a different administrator has to approve it. Submitting produces a pending change and the loan carries a banner saying so.

Option	Description
Awaiting approval	Requested, and waiting on a second administrator.
Scheduled	Approved and due to take effect in the period it names.
Applied	The period has run and the change has taken effect.
Withdrawn	Cancelled before it took effect.

Example: Priya Raman requests a postponement for Tom Hargreaves. Until Daniel Okonkwo approves it, the next run still takes the normal installment.

What happens next

An approved change takes effect when its period runs: a postponed period collects nothing and the loan’s end date moves out by one period, while a skipped period collects nothing and the catch-up period collects more. The loan’s schedule and history show what was changed and who approved it. Where an employee’s difficulty is not temporary, waiving part of the balance is the other route.